Breaking chain - going rented, issue for next mortgage app?

Lemonsqueezer78

We've taken the decision to complete on the sale of our property and go in to rented accommodation for 6 months, since the people we were buying from have pulled out just as we were getting ready to exchange.

I'm going to have to cancel the mortgage we had secured with Nationwide and start the mortgage process again when we re-start our search in a few weeks time but I'm concerned that when we come to apply again, we'll be at a new address which we'll obviously have only been at for a short while. I'll try to get us on the Electoral Roll as soon as possible at our new address, but I seem to recall that it can actually take some time (a couple of months?) for the ER to be updated. I'd rather start our search for a purchase property asap once we have moved in to this rented place if we can...

So far we have applied direct for our mortgages with no issues, however will being at a new address - and possibly not (yet) showing on the ER - significantly impact my ability to get a mortgage? Should I wait till I have confirmation we are on the ER before going for DIP/AIPs? Would this put us in "Broker" territory?

Just looking for any thoughts/advice.
Cheers.

dimbo61

I would sell your home and get the rentall property sorted first.
Once you are in then register with the council for council tax and get on the ER.
You need to inform so many different bodies, utilities, employer, DVLA, HMRC, banks and building society etc
Start search for new home

Lemonsqueezer78

Thanks Dimbo.... per my post, all of that is exactly what I intend to do.

Guess I was wondering whether anyone had any thoughts re. prospects/implications for a new mortgage AIP/Application and the effects of being at a new address for a very short time when applying (negligible? significant?)

Would I be better getting an AIP from a lender whilst I am still at my current address - or is that pointless, since - when I come to do the full application - I will have moved and will have to give them my new address anyway.

Is it critical that I wait till the electoral roll has been updated before applying (would some lenders auto-decline if they cannot find you on the ER at your current address?)

MrsH2015

We did the same as you. Sold our house and went into rented property as we couldn't find the house we wanted.


We sold and moved into the rented house at the beginning of December 2015, set up utilities, council tax, ER etc. Put an offer in on a house at the end of January 2016, we used a broker (always planned too), no issues getting a mortgage as had tenancy agreement, and utilities etc, from memory we had to provide details of old house due to only being in the rented property for short period. It worked great for us, moved out of rented at the end of the 6 months and into our newly purchased house.